Tuesday 12 June 2018

Learn More About Workers Compensation Insurance

By Shirley Wood


More hours in a day are spent at work as compared to any other place. As such the workplace should be reasonably safe. Measures have been put aside to ensure safety against foreseeable accidents. Regardless of this, accidents still occur. When this happens, workers compensation insurance ensures there is coverage.

Most employers usually remember the importance of such an insurance when a catastrophe or a disaster happens. If there are injuries associated with it they never even have an idea how the insurance works. The scheme works in two ways, to defend the employee and also defend the employer. If someone gets hurt while working they are entitled to payment for the inconveniences and loss. The proprietor or manager is also shielded from court processes in such an occurrence.

These policies should be paid for by the employer. The employee should not, in any case, be asked by the boss to pay for that amount. Partnerships and sole proprietors are in most cases not required to pay for this policy by law. In some places, the employee is not even required to have the insurance cover if they get paid in commission only. Employees are considered as those acting under instructions.

When an injury that is work related occurs one is paid if the employer or insurer agrees that the circumstances were as reported. One could get injured at their job in many different ways. One could hurt themselves in a fall or get splashed by a chemical substance on their bodies.There is also injuries as a result of repeated work, like hurting a wrist or even loss of hearing due to exposure to loud noises.

Not having coverage is a misdemeanor that could be punished by a fine or even serving some jail term. There should be a poster at an accessible point in the workplace put up by the employer. It should have guidelines for the staff on the compensation policy and means of attaining medical attention. Failure to set up this notice is a crime that could end in a penalty.

Insured employees are entitled to different benefits under this scheme. Medical attention for the person is paid to aid in recovery. Wages lost during recovery times are catered for in the form of temporal disability. Those who do not get back to their former condition are given permanent disability benefits. Death benefits are paid to dependents of the deceased spouse and children if any.

Premiums for this policy are not fixed but vary depending on a number of things. One of the bases is the industries payroll as well as their classification code. Industries with dangerous activities like the construction company pay higher fees as compared to law firms. Location of the company is also another important factor to consider. Those located in terrorist prone areas or areas at high risk of natural disasters pay more.

Safety is important for human resource. Misfortunes are hard to avoid. Getting ready for such incidents is a wise step. Hence the importance of this insurance policy.




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